Sneaker and apparel retailers blindsided by tariffs on Asian factory hubs

Record ID: 1988007

  • Title: Sneaker and apparel retailers blindsided by tariffs on Asian factory hubs
  • Date: 3rd April 2025
  • Summary: ROME, ITALY (APRIL 3, 2025) (REUTERS) VARIOUS OF EXTERIOR OF ADIDAS STORE / ADIDAS SHOES AT DISPLAY IN SHOP WINDOW PUMA SWEATSHIRT INTERIOR OF STORE NIKE SWEATSHIRTS EXTERIOR OF NIKE STORE VARIOUS OF SNEAKERS AT DISPLAY IN NIKE STORE EXTERIOR OF STORE AND PEOPLE PASSING BY VARIOUS OF ADIDAS SHOES IN STORE WINDOW EXTERIORS OF ADIDAS STORE MADRID, SPAIN (APRIL 3, 2025) (REUT
  • Embargoed:
  • Keywords: ADIDAS COMPANIES DONALD TRUMP ITALY NIKE PUMA TARIFFS USA
  • Location: ROME, ITALY AND MADRID, SPAIN
  • City: ROME, ITALY AND MADRID, SPAIN
  • Country: Italy
  • Topics: Europe,Economic Events
  • Reuters ID: LVA001395603042025RP1
  • Aspect Ratio: 16:9
  • Story Text:Prices of Nike Jordan and Adidas Samba sneakers are likely to rise in the U.S. after President Donald Trump imposed a raft of new tariffs on Vietnam, China, and Indonesia, key manufacturers of sportswear and apparel.
    Shares in Nike, Adidas, and Puma dropped sharply on Thursday (April 3) after Vietnam was targeted with a 46% tariff rate, Cambodia at 49%, Bangladesh at 37%, and Indonesia at 32%, while Trump hiked tariffs on China by an extra 34 percentage points, following the earlier 20% tariffs.
    Fast-fashion retailers H&M, which sources from China and Bangladesh mainly, and Zara owner Inditex were also hit.
    In the past years, apparel and sportswear brands have shifted their sourcing away from China due to escalating political tensions between Washington and Beijing and have imported more from countries including Vietnam, Indonesia, and India.
    Retailers may not be able to fully offset these tariffs, as countering the impact of the levies on Vietnam alone would require price increases of 10% to 12%, according to UBS analysts.
    (Production: Gabriele Pileri, Cristiano Corvino, Elena Rodriguez, Fabiano Franchitti, Oriana Boselli)
  • Copyright Holder: REUTERS
  • Copyright Notice: (c) Copyright Thomson Reuters 2025. Open For Restrictions - http://about.reuters.com/fulllegal.asp
  • Usage Terms/Restrictions: None
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